How to Shop Smartly to Earn Maximum Reward Points on Your Card

In the digital economy, credit cards are more than just plastic money. They have eased life considerably due to their ability to pay for anything from groceries to electronic devices with their credit card and saving extensively through reward points. Despite having these rewards, most credit card users are not taking these benefits.

Thus, this article will provide valuable tips on how to maximise reward points from your usual or travel credit card.

1. Choosing the Right Credit Card

The first step to maximise credit card benefits is to apply for a credit card online that suits your needs and spending patterns. Here are some of the key factors which you should consider before choosing a credit card:

• Reward Categories: Look for cards which offer high rewards, such as travel credit cards. These cards offer 1% or 2% cashback on every transaction and special discounts for travel activities.
• Sign-up bonuses: Many cards offer several sign-up bonuses, such as larger discounts or reward points for conducting transactions at a petrol pump or a grocery store.
• Annual Fees: Keep a closer look at this, while some high-reward cards come with annual fees that can outweigh the benefits offered by credit cards. So, it’s better to apply for a credit card online that has a nominal annual fee if the benefits highly exceed its maintenance cost.
• Reward Redemption Options: Most travel credit cards offer you flexible redemption options by giving you cashback, travel miles or gift cards.

2. Track Your Spending

To effectively leverage credit card reward points, it is important to keep track of your spending. Spending analysis often comes with several regular shopping or travel credit cards. These cards offer you online portals or mobile apps where you can monitor your transitions.

This feature keeps you informed about your spending habits and identifies opportunities to earn more reward points.

Be focused on where and how you use your credit card. You have to identify where most of the spending goes, such as groceries, travel or fuel. By choosing your key spending, select the most ideal credit card that will provide you with more reward points.

For example, if you have to frequently refill your car’s petrol, you may consider a travel credit card. Some of these credit cards offer a 1% surcharge waiver on fuel transactions. These cards also offer you e-vouchers from top brands, discounts on mobile/DTH recharges and much more.

3. Pay the Full Amount of Your Credit Card

While earning reward points is exciting, it is also important to consider not falling for overspending. You can avoid this by paying the full amount of your spending each month. It not only keeps you debt-free but also helps you to increase your credit score.

4. Redeem Reward Points Wisely

Once you have collected a substantial amount of reward points on your credit card, it’s time to redeem them to maximise their value. However, analysing the offers available on your credit card is worth spending. This also applies to your collected reward points.

For instance, you are making a list of groceries you need this week, and at this time, your credit card’s reward points offer you some discounts at your neighbourhood store or e-commerce platform. This can be a great deal for you to redeem your points while maximising your savings.

Final Thoughts

Before you apply for a credit card online, make sure you know what you are looking for, whether it is a travel credit card or a card that offers you rewards for daily expenses, such as groceries or online payments at merchants. This will help you to manage your finances smartly, along with using all your credit card reward points.